According to a recent Bloomberg interview, Strive Asset Management CEO Matt Cole said digital credit—securities that pay income backed by Bitcoin exposure—could become a $3 trillion market. Cole argued the digital credit universe currently holds about $10 billion, with two products in the space: SEDA from Strive and STRC from Strategy.
Strive's SEDA product pays daily dividends, the first listed U.S. security to offer daily payouts instead of monthly accruals. The company maintains an 18-month cash reserve and has delivered positive total returns even through a 50% Bitcoin drawdown since inception, Cole noted. By contrast, TLT, the largest U.S. treasury ETF, returned negative 25% over the past six years.